Turkey's Treasury and Finance Minister Berat Albayrak unveiled the country's new economic plan that he said will reign in inflation, spur growth and cut the current account deficit.

Turkish Treasury and Finance Minister Berat Albayrak speaks as he introduces Turkey’s new Medium Term Programme (MTP) at the Dolmabahce Presidential Office in Istanbul, Turkey on September 20, 2018.
(AA)

Turkey's Treasury and Finance Minister Berat Albayrak on Thursday introduced the country's 2019-2021 economic programme, saying it would activate a comprehensive set of economic policies based on three fundamental grounds – stabilisation, discipline and transformation.

The plan aims to stimulate growth, and bring down unemployment and inflation.

"We expect a stabilisation process for next year and 2020, so the new economic programme aims at 2.3 percent growth in 2019," Albayrak said.

Under the plan the unemployment rate is expected to fall after 2020 to around 10.8 percent, with two million new jobs being added by 2021, Albayrak said.

Intention to 'support stabilisation'

On the question of discipline, Albayrak said Turkey would create a Public Finance Transformation and Change Office under the new economic program.

"We will use all necessary policies and measures to overcome economic challenges," the minister said.

"Our major intention is to support stabilisation process with discipline in public finance," he said.

TRT World'sMobin Nasir reports.

3.8 percent growth in 2018

Addressing the current economic situation, Albayrak said he expected the Turkish economy to grow 3.8 percent this year.

The plan is called the Medium Term Programme (MTP). It aims at a 1.9 percent budget deficit to gross domestic product (GDP) ratio this year, with that narrowing to 1.7 percent in 2021.

The minister said the main target of the transformational phase of the plan would be a focus on value-added areas which will increase the country's export volume and long-term production capacity.

"You will see the most concrete example of this in investment projects that we will support," Albayrak said.